1. Flexible Budget: Puget Sound Divers is a company that provides diving services such as underwater ship repairs to clients in the Puget Sound area. The company's planning budget for May appears below: Puget Sound Divers Planning Budget For the Month Ended May 31 Budgeted diving-hours (g).. Revenue ($365.00q) Expenses: Wages and salaries ($8,000 + $125.00q) Supplies ($3.009). Equipment rental ($1,800+ $32.00q) Insurance ($3,400) Miscellaneous ($630+ $1.80q) Total expense Net operating income 100 $36,500 20,500 300 5,000 3,400 810 30,010 $ 6,490 During May, the company's activity was actually 105 diving-hours. Prepare a flexible budget for that level of activity.